Commodities: Oil prices continue rise, gold slumps
Oil prices rose on Thursday to hover below $50 a barrel but a lack of market demand means that long-term increase is still unlikely.
AEX Index
887.44
08:00 09/09/22
Royal Dutch Shell A
€22.80
07:57 01/02/22
At the end of Wednesday’s session, Brent futures rose 1.2% to $49.04 while ICE WTI futures dropped 0.2% to $44.50.
Brent crude futures have remained above $47 a barrel since 14 January.
CMC Markets analyst Jasper Lawler said: “Oil prices pulled higher on Thursday after Royal Dutch Shell indicated a capex cut and a reduction in offshore rigs in an indication that oil majors are starting to react to lower prices by cutting production.”
Gold for April delivery receded 2.4% to $1,255.90 per ounce on the Comex division of the New York Mercantile Exchange, which marked its steepest decline since 19 December 2013 as the market reacted to the Federal Reserve’s hawkish new statement.
Meanwhile, on LME, three-month copper futures came in lower than the previous session, falling 1.3% to $5,402.50.
McCaig added: “Copper has bounced off of January’s lows but still remains entrenched in a bearish mindset. ”